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NGF to FG, your dereliction of duty is responsible for rising poverty in Nigeria

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Thirty- six State Governors under the aegis of the the Nigeria Governors’ Forum, NGF has blamed  the high level of poverty in the country on the federal government. The federal government had accused state governors accused of paying  more attention to flyovers and airports rather than improvement of life in the rural areas. The Governors said that the federal government should stop shifting blames to others  over rising poverty in the country. The Governors took a swipe at the Federal Government, saying that its  dereliction of duty was responsible for the rising poverty in the country and the reason why people have been unable to engage in regular agricultural activities and in commerce. According to the Governors,  the accusation by the Federal Government came as a surprise to them, saying that it got it wrong, adding that the assertion was not only preposterous and without any empirical basis, but also very far from the truth. The Governors said that what the  Federal Government was talking about were total lies. The Federal Government through the Minister of State, Budget and National Planning, Clement Agba had on  Wednesday blamed the high level of poverty in the country on state governors whom he said pay more attention to flyovers and airports rather than improvement of life in the rural areas. 

The Minister of State, Budget and National Planning, Clement Agba gave the admonition while fielding question from State House correspondents at the end of the Federal Executive Council, FEC, meeting, presided over by President Muhammadu Buhari at the Council Chamber, Presidential Villa, Abuja. But reacting to the allegation, the Governors said that the  tirade early this week by the Minister of state for Budget and National Planning Clement Agba, on the 36 Governors, where he blamed them for the rising poverty index in the country comes to the Nigeria Governors’ Forum as a surprise. The Minister got his message totally wrong. In a statement  by the Director, Media and Public Affairs, Abdulrazaque Bello-Barkindo, the Governors said that the attacks were not only unnecessary, but represent what they described as a brazen descent into selective amnesia. It is also diversionary as far as the Governors were  concerned. The Statement read, “The tirade early this week by the Minister of state for Budget and National Planning Mr. Clement Agba, on the 36 Governors, where he blamed them for the rising poverty index in the country comes to the Nigeria Governors’ Forum as a surprise. The Minister got his message totally wrong.

“His attacks are not only unnecessary, but they represent a brazen descent into selective amnesia. It is also diversionary as far as the Governors are concerned. The Minister who should be responding to a question demanding to know what he and his colleague, the Minister of Finance, Budget and National Planning, Zainab Ahmed, were doing to ameliorate the hardship Nigerians are facing attempted to defray the notion that rising levels of hunger and lack were peculiar to Nigeria. True as that may be Mr. Agba went further to explain that their government, through many of its social security programs, has been dedicating resources to alleviating hardship, and then goes further to accuse state governors of misdirecting resources to projects that have no impact on the people. While rightly pointing out that that 72% of the poverty in Nigeria is found in the rural areas, the Minister said that the rural populace had been abandoned by governors. This assertion is not only preposterous and without any empirical basis, but also very far from the truth. It is Mr. Clement Agba’s veiled and deliberate effort, as a minister, to protect his paymasters and politicize very critical issues of national importance. Instead of answering the question thrown at him by journalists, Mr. Agba veered his attention to soft targets that happen to be 36 Governors. It is the opinion of the Governors that the dereliction that the Minister is talking about lies, strictly speaking, at the doorstep of the Federal Government which he represents, in this scenario.

“First and foremost, the primary duty of any government is to ensure the security of lives and property, without which no sensible human activity takes place. But the Federal Government which is responsible for the security of lives and property has been unable to fulfil this covenant with the people thus allowing bandits, insurgents, and kidnappers to turn the country into a killing field, maiming and abducting people, in schools market squares and even on their farmlands. This dereliction of duty from the centre is the main reason why people have been unable to engage in regular agrarian activity and in commerce. Today, rural areas are insecure, markets are unsafe, surety of travels are improbable and life for the common people generally is harsh and brutish. The question is, how can a defenceless rural population maintain a sustainable lifestyle of peace and harmony when their lives are cut prematurely, and they wallow permanently in danger? How does a minister whose government has been unable to ensure security, law and order have the temerity to blame governors?

“Two states, Edo State and Akwa Ibom State had promptly responded to the vituperations of the Minister. According to Akwa Ibom State, what determines poverty and unemployment in a country is its economic policy, which is set, normally by the central government nationally. Akwa Ibom insists that the Federal Government cannot abdicate its responsibility by blaming states and goes further to ask, albeit rhetorically, how economic policies in a state drive the dollar which determines almost every aspect of our national existence. In its response to Clement Agba, Edo State, on the other hand, reeled out the projects the state embarked upon which were targeted at alleviating poverty among its people. Mr. Agba is perceptibly oblivious of them. Many other states have been implementing pro-poor programs in their domain, and they are there for all to see. Although the Minister committed the folly of tarring all thirty-six governors with the same brush, there cannot be a one-size-fits all reply to the Minister’s misguided outburst.

“For example, it is the Federal Government that, in its campaign message in 2019, promised to take 100 million Nigerians out of poverty. Today, records show that more than 130 million Nigerians are living below the globally accepted poverty line of a dollar a day. Under the current administration that Mr. Clement Agba is minister, the national cash cow, the NNPC, had failed to remit statutory allocations to states in several months. The situation had compelled governors to rely on other sources of revenue like, the SFTAS program and other interventions anchored by the NGF, to fund states activities while monies budgeted for such federal ministries as Agriculture, Rural Development and Humanitarian Affairs are not being deployed in the direction of the people. So, where is the Minister getting his unverified facts and figures from? It is important to mention here that only this week the House of Representatives asked the Minister of Humanitarian Affairs, Hajiya Sadiya Umar Farouk, to quit office if she was not ready to do her work of alleviating poverty in the land. This, in other words, is a resounding vote of no confidence on the ministers among whom Mr. Agba serves. The Nigeria Governors’ Forum would like to state categorically that it does not indulge in joining issues with the Federal Executive Council, being a non-partisan organ. The NGF’s primary mandate is to partner with all well-meaning institutions, concerns, MDAs, and individuals for the progress of the Nigerian people. However, it is important to put on record the progress made by state governors in the administration of their states, which have witnessed tremendous progress in recent time. Governors have undertaken projects where they, in conjunction with their people, deem them fit for purpose. 

“Governors have today shown greater responsiveness to the yearnings and aspirations of their people, and these vary from one state to another. The opinion, therefore, of one minister, based on a survey of 56 000 households in a country of 200million people can never diminish the good work that 36 pro-poor minded Governors are doing for this country. Finally, it is important to admonish top government functionaries like Mr. Clement Agba that the Nigerian people deserve answers from even those who are appointed to serve them and these finger-pointing invectives on soft targets do not help matters, only answers do.”

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Economy

Nigeria champions African-Arab trade to boost agribusiness, industrial growth

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The Arab Africa Trade Bridges (AATB) Program and the Federal Republic of Nigeria formalized a partnership with the signing of the AATB Membership Agreement, officially welcoming Nigeria as the Program’s newest member country. The signing ceremony took place in Abuja on the sidelines of the 5th AATB Board of Governors Meeting, hosted by the Federal Government of Nigeria.

The Membership Agreement was signed by Eng. Adeeb Y. Al Aama, the CEO of the International Islamic Trade Finance Corporation (ITFC) and AATB Program Secretary General, and H.E. Mr. Wale Edun, Minister of Finance and Coordinating Minister of the Economy, Federal Republic of Nigeria. The Agreement will provide a strategic and operational framework to support Nigeria’s efforts in trade competitiveness, promote export diversification, strengthen priority value chains, and advance capacity-building efforts in line with national development priorities. Areas of collaboration will include trade promotion, agribusiness modernization, SME development, businessmen missions, trade facilitation, logistics efficiency, and digital trade readiness.

The Honourable Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, called for deeper trade collaboration between African and Arab nations, stressing the importance of value-added Agribusiness and industrial partnerships for regional growth. Speaking in Abuja at the Agribusiness Matchmaking Forum ahead of the AATB Board of Governors Meeting, the Minister said the shifting global economy makes it essential for African and Arab nations to rely more on regional cooperation, investment and shared markets.

He highlighted projections showing Arab-Africa trade could grow by more than US$37 billion in the next three years and urged partners to prioritize value addition rather than raw commodity exports. He noted that Nigeria’s growing industrial base and upcoming National Single Window reforms will support efficiency, investment and private-sector expansion.

“This is a moment to turn opportunity into action”, he said. “By working together, we can build stronger value chains, create jobs and support prosperity across our regions”, Edun emphasized. “As African and Arab nations embark on this journey of deeper trade collaboration, the potential for growth and development is vast. With a shared vision and commitment to value-added partnerships, we can unlock new opportunities, drive economic growth, and create a brighter future for our people.”

Speaking during the event, Eng. Adeeb Y. Al Aama, Chief Executive Officer of ITFC and Secretary General of the AATB Program, stated: “We are pleased to welcome Nigeria to be part of the AATB Program. Nigeria stands as one of Africa’s most dynamic and resilient economies in Africa, with a rapidly expanding private sector and strong potential across agribusiness, energy, manufacturing, and digital industries. Through this Membership Agreement, we look forward to collaborating closely with Nigerian institutions to strengthen value chains, expand regional market access, enhance trade finance and investment opportunities, and support the country’s development priorities.”

The signing of this Agreement underscores AATB’s continued engagement with African countries and its evolving portfolio of programs supporting trade and investment. In recent years, AATB has worked on initiatives across agribusiness, textiles, logistics, digital trade, export readiness under the AfCFTA framework, and other regional initiatives such as the Common African Agro-Parks (CAAPs) Programme.

With Nigeria’s accession, the AATB Program extends it’s presence in the region and adds a key partner working toward advancing trade-led development and fostering inclusive economic growth.

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Economy

FEC approves 2026–2028 MTEF, projects N34.33trn revenue 

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Federal Executive Council (FEC) has approved the 2026–2028 Medium-Term Expenditure Framework (MTEF), a key fiscal document that outlines Nigeria’s revenue expectations, macroeconomic assumptions, and spending priorities for the next three years. The approval followed Wednesday’s FEC meeting presided over by President Bola Tinubu at the State House, Abuja. The Minister of Budget and Economic Planning, Senator Atiku Bagudu made this known after the meeting.

The Minister said the Federal Government is projecting a total revenue inflow of N34.33 trillion in 2026, including N4.98 trillion expected from government-owned enterprises. Bagudu said that the projected revenue is N6.55 trillion lower than earlier estimates, adding that federal allocations are expected to drop by about N9.4 trillion, representing a 16% decline compared to the 2025 budget.

He said that statutory transfers are expected to amount to about N3 trillion within the same fiscal year. On macroeconomic assumptions, FEC adopted an oil production benchmark of 2.6 million barrels per day (mbpd) for 2026, although a more conservative 1.8 mbpd will be used for budgeting purposes. An oil price benchmark of $64 per barrel and an exchange rate of N1,512 per dollar were also approved.

Bagudu said the exchange rate assumption reflects projections tied to economic and political developments ahead of the 2027 general elections. He said the exchange rate assumption took into account the fiscal outlook ahead of the 2027 general elections.

The minister said that all the parameters were based on macroeconomic analysis by the Budget Office and other relevant agencies. Bagudu said FEC also reviewed comments from cabinet members before approving the Medium-Term Fiscal Expenditure Ceiling (MFTEC), which sets expenditure limits. Earlier, the Senate approved the external borrowing plan of $21.5 billion presented by President Tinubu for consideration The loans, according to the Senate, were part of the MTEF and Fiscal Strategy Paper (FSP) for the 2025 budget.

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Economy

CBN hikes interest on treasury Bills above inflation rate

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The spot rate on Nigerian Treasury bills has been increased by 146 basis points by the Central Bank of Nigeria (CBN) following tight subscription levels at the main auction on Wednesday. The spot rate on Treasury bills with one-year maturity has now surpassed Nigeria’s 16.05% inflation by 145 basis points following a recent decision to keep the policy rate at 27%. 

The Apex Bank came to the primary market with N700 billion Treasury bills offer size across standard tenors, including 91-day, 182-day and 364 day maturities. Details from the auction results showed that demand settled slightly above the total offers as investors began to seek higher returns on naira assets despite disinflation.

Total subscription came in at about N775 billion versus N700 billion offers floated at the main auction. The results showed rising appetite for duration as investors parked about 90% of their bids on Nigerian Treasury bills with 364 days maturity. The CBN opened N100 billion worth of 91 days bills for subscription, but the offer received underwhelming bids totalling N44.17 billion.

The CBN allotted N42.80 billion for the short-term instrument at the spot rate of 15.30%, the same as the previous auction. Total demand for 182 days Nigerian Treasury bills settled at N33.38 billion as against N150 billion that the authority pushed out for subscription. The CBN raised N30.36 billion from 182 days bills allotted to investors at the spot rate of 15.50%, the same as the previous auction.

Investors staked N697.29 billion on N450 billion in 364-day Treasury bills that was offered for subscription. The CBN raised N636.46 billion from the longest tenor at the spot rate of 17.50%, up from 16.04% at the previous auction.

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